Saturday, 15 March 2025
EQT Real Estate, through its EQT Exeter Logistics Value Fund IV, has finalized an agreement to acquire a premium logistics portfolio in Northern Italy for approximately €230 million. The deal involves 12 fully leased, high-quality logistics assets spanning a total of 265,000 square meters. The acquisition marks a significant step in EQT Real Estate’s strategy to bolster its presence in Europe’s thriving logistics sector.
The portfolio, strategically located in key Northern Italian submarkets including Milan and Verona, offers exceptional connectivity to core distribution hubs via major motorways such as the A1, A4, and A22. These transport links provide access to more than 12 million people in major population centers, making the assets ideal for modern logistics operations.
The properties, with an average age of just ten years, boast Grade A technical specifications, including eaves heights averaging 11 meters and extensive loading and maneuvering capabilities. These state-of-the-art facilities cater to the needs of globally diversified tenants, aligning with the increasing demand for high-quality logistics spaces across Italy and Europe.
EQT Real Estate sees substantial growth opportunities in this portfolio. With a weighted average lease term of 4.3 years, the properties offer significant rental growth potential and value creation opportunities. By leveraging its asset management expertise, EQT Real Estate aims to enhance the portfolio’s performance, capitalizing on its strategic locations in supply-constrained markets.
“This portfolio represents a tremendous addition to our fund,” said John Toukatly, Partner and Chief Investment Officer for European Logistics at EQT Real Estate. “Strategically situated in key logistics hubs, these assets are highly appealing to prominent occupiers. The acquisition aligns perfectly with EQT Real Estate’s focus on acquiring modern logistics properties in underserved markets, and we look forward to unlocking additional value through our operational and asset management capabilities.”
The acquisition highlights the growing attractiveness of the Italian logistics market, which continues to experience robust demand. The Greater Milan area, in particular, has emerged as a key logistics hub, drawing investors seeking supply-constrained, strategically located assets.
The transaction was structured via an Italian Real Estate Investment Fund (REIF) managed by Kryalos SGR S.p.A., one of Italy’s leading real estate investment management firms. Kryalos will oversee the management of the assets, ensuring long-term value creation and operational excellence.
“This deal underscores the liquidity and strength of the Italian logistics market,” said Paolo Bottelli, Founder and CEO of Kryalos SGR. “The sector continues to attract global investors seeking to establish or grow their presence in this dynamic space. We are delighted to collaborate with EQT Real Estate to execute their investment strategy in Italy and to manage these properties to their fullest potential.”
The transaction not only strengthens EQT Real Estate’s presence in Northern Italy but also reinforces its commitment to Europe’s growing logistics market. With modern facilities, strong tenants, and prime locations, the portfolio positions EQT Real Estate to deliver long-term value and capitalize on the sustained demand for logistics infrastructure in Europe.
